States’ feedback sought on raising GST rates on 143
items
“The opinions of the states have been sought on raising
the GST rates on 143 items. After getting a sense of the
opinion of states, the proposals may be put up before
the GST Council,” a state finance minister told FE.
To gauge the states’ mood ahead of the Goods and
Services Tax (GST) Council’s meeting in late May, the
GST Council secretariat has sought states’ views on the
scope for raising tax rates on 143 items, in most cases
to revert the rate to 28% from 18%.
“The opinions of the
states have been sought on raising the GST rates on 143
items. After getting a sense of the opinion of states,
the proposals may be put up before the GST Council,” a
state finance minister told FE
In December 2018, the GST
Council slashed the tax rates on a large number of
items, including consumer durables, electronic goods and
furniture items, from 28% to 18%. These include some
televisions, water coolers, ice cream freezers, milk
coolers, food grinders, paints, digital cameras, video
camera recorders and video game consoles and sports
requisites. In November 2017, the rates on chocolates
and other food preparations containing cocoa were
reduced from 28% to 18%.
Separately, suggestions by
a group of ministers led by Karnataka chief minister
Basavaraj Bommai on GST rate rationalisation will likely
be ready soon after taking inputs from states. The GST
Council may consider these proposals in the third week
of May.
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